InvestorQ : What is your view on the forthcoming bond issue of IIFL Home Finance?
Rashi Mehra made post

What is your view on the forthcoming bond issue of IIFL Home Finance?

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Archita Jajjoo answered.
5 months ago
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Here are some of the key highlights of the IIFL Home Finance bond issue. IIFL Home Finance is a subsidiary of IIFL Finance, which is the fund based driver of the IIFL group.

· The Rs.1,000 crore bond issue will consist of Rs.100 crore base issue and Rs.900 crore offer for sale. The coupon rate will be in the range of 8.25% to 8.75%.

· The bond issue will open for subscription on 08-December and will close for subscription on 28-December, both days inclusive.

· The bonds (non-convertible debentures) will come in 3 maturities of 36 months, 60 months and 84 months. Obviously, rates will be higher for distant maturities.

· CRISIL, India’s leading rating agency, has assigned a "AA/Stable” rating for the bond issue while Brickwork Ratings has given “AA+/ Negative” rating. These indicate high safety.

· IIFL Home Finance will look to expand its reach to smaller towns and cities and also expand its AUM from the current Rs.21,474 crore to Rs.25,000 crore by March 2022.

· is looking to expand in smaller towns with an aim to cross the Rs 25,000-crore mark in terms of assets under management (AUM) by March 2022.

The yields are attractive and offer a good choice for conservative investors who want to lock in investments at higher yields.

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